The New Mexico Office of Superintendent of Insurance published a press release announcing a provisional increase to the maximum coverage limit for the New Mexico FAIR Plan.
The provisional approval increases the maximum limit for residential property policies from $350,000 to $750,000. One to four family dwellings anywhere in the state are eligible. Insurance Superintendent Alice Kane asserts that the increase is essential for residents impacted by wildfires to obtain home insurance. The provisional approval expires on June 20, 2025.
New Mexico Senate Bill 81 has been sponsored which would codify this change into law, as well as an increase of commercial policies. If the bill passes, the FAIR plan’s residential structures limit will be increased to $750,000, and the limit for commercial structures will be increased from $1 million to $2 million.
The press release can be found here.
Ray Sugrim
Ray Sugrim is an Insurance Editor with FC&S Expert Coverage Interpretation, a division of National Underwriter Company and Arc Network. Ray is responsible for helping develop and edit content for subscribers. Ray is a St John’s University graduate with a degree in Risk Management & Insurance and is a CPCU candidate.